Share Based Awards (Tables)

12 Months Ended

Dec. 31, 2016


		Options Outstanding
						Weighted-
	Number of					Average	Aggregate
	Shares		Weighted-			Remaining	Intrinsic
	Available	Number of	Average		Contractual		Value
	for Issuance	Shares	Exercise Price			Term (Years)	(In thousands)
Balance—December 31, 2013	2,085,338	13,330,882	$	2.90		8.38	$	38,339
Authorized	9,913,915	—
Stock options granted	(5,373,131)	5,373,131		6.97
Restricted stock units granted	(480,456)	—
Exercised (1)	—	(1,089,708)		2.27
Stock options canceled	1,178,737	(1,178,737)		4.55
Restricted stock units canceled	1,667	—
Repurchased	66,088	—
Balance—December 31, 2014	7,392,158	16,435,568	$	4.15		7.83	$	95,791
Authorized	5,418,242	—
Stock options granted	(1,089,100)	1,089,100		6.95
Restricted stock units granted	(9,932,561)	—
Exercised	9,019	(2,817,915)		2.12
Stock options canceled	3,208,006	(3,208,006)		5.61
Restricted stock units canceled	1,653,927	—
Repurchased	12,545	—
Balance—December 31, 2015	6,672,236	11,498,747	$	4.51		6.86	$	6,256
Authorized	4,436,933	—
Stock options granted	(1,316,200)	1,316,200		3.36
Issuance of shares under 2016 Bonus Plans	(1,653,371)	—
Restricted stock units granted	(9,070,854)	—
Exercised	—	(1,040,902)		2.37
Stock options canceled	1,938,053	(1,938,053)		5.46
Restricted stock units canceled	3,192,618	—
Balance—December 31, 2016	4,199,415	9,835,992	$	4.39		6.23	$	5,734
Vested and exercisable—December 31, 2016		7,023,833	$	4.08			$	5,210
Vested and expected to vest(2)—December 31, 2016		9,497,378	$	4.37			$	5,657

(1)

Includes early exercises of 42,772 in 2014. In 2015 or 2016 no shares of common stock were issued for the exercise of common stock options prior to their vesting dates, or early exercises.

(2)

Options expected to vest are net of an estimated forfeiture rate.

Additional Information Regarding Options


	Options Outstanding				Options Exercisable
		Weighted-
		Average
		Remaining	Weighted-			Weighted-
	Number of	Contractual	Average		Number of	Average
Range of exercises	Shares	Term (Years)	Exercise Price		Shares	Exercise Price
$0.04 — $2.90	2,000,481	4.08	$	1.19	2,000,481	$	1.19
$3.08 — $3.70	2,883,203	7.14		3.54	1,618,203		3.70
$3.77 — $5.77	2,868,971	5.96		4.98	2,106,222		4.88
$6.20 — $10.80	2,027,512	7.26		7.73	1,266,344		7.58
$12.05 — $12.05	55,825	7.67		12.05	32,583		12.05
Outstanding at December 31, 2016	9,835,992	6.23	$	4.39	7,023,833	$	4.08

Schedule of Stock-based Compensation Expense Recognized (in thousands)

Our stock-based compensation expense was recorded in the following cost and expense categories (in thousands):



	Year Ended December 31,
	2016		2015		2014
Contra-revenue	$	—	$	—	$	123
Cost of revenue		3,043		2,774		1,353
Research and development		11,728		10,607		5,980
Sales and marketing		10,474		9,508		5,930
General and administrative		9,144		5,902		3,363
Total	$	34,389	$	28,791		16,749

Schedule of Assumptions Used for Calculating the Fair Value of Employee Option Grants


	Year ended December 31,
	2016	2015	2014
Expected dividend yield	—	—	—
Risk-free interest rate	1.4% - 1.5%	1.6% - 1.8%	1.7% - 2.1%
Expected volatility	42%	43% - 45%	48% - 56%
Expected life (in years)	6.1	5.5 - 6.1	5.6 - 6.5

Schedule of Assumptions Used for Calculating the Fair Value of Employee stock purchase plans


	Year ended December 31,
	2016	2015	2014
Expected dividend yield	—	—	—
Risk-free interest rate	0.5% - 0.7%	0.1% - 0.7%	0.1% - 0.5%
Expected volatility	34% - 41%	34% - 35%	47% - 49%
Expected life (in years)	0.5 - 2.0	0.5 - 2.0	0.7 - 2.2

Schedule of Unrecognized Stock-based Compensation Related to Nonvested Awards


	Unrecognized		Remaining
	Stock-based		Weighted-Average
	Compensation		Recognition
	Expense		Period
	(in millions)		(in years)
Stock options	$	4.6	2.2
Restricted stock units		35.3	2.9
ESPP		1.3	0.6
Total	$	41.2

Restricted Stock

Schedule of Restricted Stock and RSU Activity


	Restricted Stock
		Time - and -
	Time - based	performance based	Total
	shares	shares	shares
Unvested, December 31, 2013	886,718	1,031,902	1,918,620
Granted	16,294	—	16,294
Vested	(491,313)	(586,204)	(1,077,517)
Cancelled/Forfeited	(350,440)	(413,152)	(763,592)
Unvested, December 31, 2014	61,259	32,546	93,805
Granted	—	—	—
Vested	(41,137)	(32,546)	(73,683)
Cancelled/Forfeited	(20,122)	—	(20,122)
Unvested, December 31, 2015	—	—	—

RSUs

Schedule of Restricted Stock and RSU Activity


	Restricted Stock Units
		Weighted-
		Average
	Number of	Grant Date
	Shares	Fair Value
Unvested, December 31, 2013	—	$	—
Granted	480,456		9.45
Vested	—		—
Cancelled/Forfeited	(1,667)		9.18
Unvested, December 31, 2014	478,789	$	9.45
Granted	9,932,561		6.92
Vested	(924,461)		8.36
Cancelled/Forfeitures	(1,653,927)		8.06
Unvested, December 31, 2015	7,832,962	$	6.66
Granted	10,724,225		3.36
Vested	(4,889,594)		4.99
Cancelled/Forfeitures	(3,192,618)		5.39
Unvested, December 31, 2016	10,474,975	$	4.45